When Will the Price of Chicken, Meat, and Pork Go Down?

The price of chicken, pork, and meat could potentially decline in the coming months, though not in the expected way. Manufacturers in the U.S. are shifting towards plant-based jet fuel and diesel to reduce emissions, which will lead to an increase in the availability of soymeal—a key animal feed ingredient. As soymeal becomes more abundant and cheaper, the cost of feeding livestock is expected to drop, eventually benefiting consumers who have faced high prices for chicken, meat, and pork.

Feed costs typically account for around 60% of the total cost to raise cattle, chickens, and pigs. As processing soybeans produces four tons of soymeal for every ton of oil, this surplus could lower costs for meat production. However, it may take several months or even years before the price reductions reach the grocery store shelves. The impact will not be immediate, as some plants will need time to ramp up production and reach full capacity.

The chicken industry is likely to experience price cuts sooner than other sectors due to its shorter production cycle. As the cost of raising animals drops, companies are also expected to benefit from improved margins. In October 2023, price deflation was observed in lamb, packaged lunch meat, breakfast sausage, and processed chicken, while beef prices continued to rise.

According to Circana, a Chicago-based market research firm, year-over-year unit sales for meat were down 3.8%. However, chicken was the only fresh category to show an increase in unit sales, with a modest 0.2% rise. Despite a dip in overall meat sales, chicken still ranked second in total dollar sales, contributing $1.2 billion, behind fresh meat’s $2.4 billion.

Processed meats showed a decline in both dollar and unit volume, with packaged lunch meat leading sales at $477 billion. On a brighter note, ground chicken saw significant year-over-year increases in both dollar sales (up 8.3%) and pound sales (up 12%), indicating strong demand for more affordable, versatile meat options.